Sony Vegas watermark disappears (the usual Pan & Crop problem)

I seem to have a Sony Vegas Pan & Crop related problem. I have a Vegas Pro 10.0. I know this topic has been raised before but still I could not find a proper answer to my particular problem.

So I have a video, originally imported in a 1920x1080 format, about to render it into a youtube-compatible 1280x720.

Now what I want to do is, I want to include a watermark logo into the video file. This is a 2000x248 format logo. What I've done so far is, I have imported the watermark, reduced its size using Event Pan&Crop function. So far ok.

Now I'd like to move this reduced size watermark onto the top right corner of the video but I simply cannot make this work. After a certain point, the image cuts off and disappears.